$72 billion deal of phone giants clears big hurdle; tentative nod from U.S.; Ameritech-SBC would have to expand to new cities and welcome competitors

Article Abstract:

The Federal Communications Commission approved the $72 billion buyout of SBC Communications Inc. by Ameritech Corp. only when the companies agreed to 28 conditions that would encourage competition. The new company will be the country's largest local phone company with approximately 55 million phone lines in 13 states. The agreement, hammered out over 3 intensive months is a response to the criticism of the federal government's blithe approval of Bell Atlantic and Nynex, a deal that stifled competition. FCC Chairman William E. Kennard is heartened by the promise of open telecommunications markets and indicated he would likely approve the deal.

Telecommunications, Local Telephone Service, Telecommunications industry, United States. Federal Communications Commission, AT&T Inc., Local telephone services, Ameritech Corp.

While the deal for TCI may be good for most shareholders, it will make the company's chairman very rich

Article Abstract:

Tele-Communications Inc.'s (TCI) chairman, John C. Malone, reached a major deal by agreeing to sell TCI for $31.8 billion to AT&T Corp. The acquisition will make Mr. Malone and TCI stockholders extremely wealthy. According to the terms of the purchase, TCI's class B shares will receive 9.7% more for each share in AT&T stock than its A shares will get. An estimated 30 million class B TCI shares are owned by Mr. Malone. His shares constitute over 50% of the outstanding 50 million class B shares.

Comment:

AT&T's $31.8 billion purchase of TCI will make TCI chairman, John C. Malone, and stockholders very wealthy

Cable Television Systems, Cable Networks, Media Planning/Goals, Media Formation/Mergers, AT&T Corp., Cable television broadcasting industry, Cable television, AT&T Broadband and Internet Services Inc., Article

Viacom plans to create on-line music and children's sites

Article Abstract:

With plans to invest $250 million in promoting a new Web presence, Viacom will create online music and secure children's sites, all to be accomplished after an acquisition of an Internet radio service known as Imagine Radio. Viacom's cable competitor, TCI, is a major investor in Sonic Net, a service that allows home pages and bulletin boards for the music community.

Comment:

Company wants to provide online music for kids

On-Line Information Services, Videotex & Teletext, Telegraph & other communications, Services development, Services, Online services, Internet services, Abstract, Music, Viacom Inc., VIA, Internet radio, Internet audio broadcasting